Clearwater Paper Corp. (CLW: Quote) said Thursday that it has upsized and priced 275 million aggregate principal amount of senior notes due 2023.
The Notes will have an interest rate of 4.5% per annum and are being issued at a price equal to 100% of their face value.
The company estimates that the net proceeds from the offering will be about $270.7 million after deducting discounts and estimated offering expenses.
Clearwater Paper plans to use about $163.9 million of the net proceeds to redeem all of its outstanding 10.625% Senior Notes due 2016, and to use $100 million of the net proceeds to purchase shares of the company’s common stock pursuant to the company’s previously announced $100 million stock repurchase program. The company plans to use the remaining net proceeds for general corporate purposes.
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by RTT Staff Writer
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